Sourcing strategies of facilities management

Encon Y.Y. Hui · Albert Tsang

70 citations0/0 files storedJournal of Quality in Maintenance Engineering

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Outsourcing and Supply Chain Management Management and Optimization Techniques Facilities and Workplace Management

Abstract

In this study, four sourcing strategies are identified in the delivery of maintenance service in facilities management, namely in‐sourcing, out‐tasking, outsourcing for cost saving, and outsourcing for capability. Since each of these strategies has merits under specific circumstances, a framework for the selection of appropriate sourcing strategy in particular situations is presented. This framework, which takes into consideration both the scope and purpose of the sourcing decision, was developed on the basis of results of earlier research and has been validated by the findings obtained from interviews with practitioners in exemplary organizations. This paper also provides guidelines for implementing the selected sourcing option, along with discussion of the related strategic and operational issues.

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References

1987The Economic Institutions of Capitalism 1975Markets and Hierarchies 2000Opportunism in Interfirm Relationships: Forms, Outcomes, and Solutions 1998A practical guide to successful outsourcing 1998Purchasing business services 1995Outsourcing in maintenance management 1998Strategic assessment of outsourcing and downsizing in the service market 2000Sourcing: new face to economies of scale and the emergence of new organizational forms

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